The Jordanian government has intervened on behalf of the troubled Jordan Textile Factory Company, advising its creditors to approve the company's restructure and to supply a discount on some of its debts, the Jordan Times reported.

Samer Tawil, secretary general of the Ministry of Trade and Industry, said these were recommendations - only the banks could decide whether to rescue the textile firm.

In addition, around 200 workers at the factory are about to strike because of unpaid wages, the newspaper reported. The company cannot afford to pay them until the banks decide whether to help it out of its dire financial situation.

The company's problems started in 1996 when it lost an estimated JD60m because of an embezzlement case. One insider said 17 people are now standing trial for embezzlement. He said the court is charging them with involvement in embezzling around JD5.5 million.

According to Fathallah Emrani, head of the General Trade Union for the Textile Industry, the company needs at least JD1.5 million to emerge from its financial troubles.


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